Friday, April 12, 2013

Philippine Stock Market Guide For Starters

Decision making is a bit tough when you get a vague view of what you wanted to pursue. It will be a lot easier when you see the whole picture.

One thing that I noticed from my friends and acquaintances is that at first, they get really excited about the thought of getting into stock market investment. For them, it sounds cool. But after sometime, only few really took action. Others got tired of reading reviews from people who got into Philippine Stock Market. While others got discouraged because they find it risky and complicated.

Now, I'm summarizing the steps that I follow when I started investing in Philippine Stock Market to make it easier for newbies and for those who are planning to get into stock market investment to understand the whole cycle.

1. Get Started! Apply for an online broker.

    In my case, I opened an account in COL Financial:
    Choose from the following category where you belong to know how to open an account so you can start    participating in Philippine Stock Market. Click on the link if you are:

             > Filipino Citizen - wants to go directly to COL Financial office

             > Filipino Citizen - wants to send details via courier

             > Not a Filipino Citizen 

When you received your account details, go to Portfolio then check if your fund appears: If it appears, you can start buying stocks.

2. Buy Stocks and Shares.

It's an exciting feeling when you get your account, your fund has been credited in your account and you are finally ready to buy your first stocks. But that excitement suddenly goes low when you finally realize that there are too many companies, which you might or might not know, that appear on the list.

At first, I had this confusion on what stock to buy and at what price it is reasonable to buy it. That is where Truly Rich Club came into the picture. I joined the club and so far I am satisfied with what I get from it. They give Stock Updates (a newsletter type) twice or more in a month. It contains information on what stocks to buy and at what reasonable price to buy a stock based on their researches. In the newsletter "Stock Updates", you will find a portion that has this list:

This contains the columns:
        a. Stock - refers to the suggested stock to buy
        b. Current Price - the price in market as of the date mentioned (in this case it's Jan 23, 2013)
        c. Buy Below Price - indicates the maximum price that you should buy stocks. If the current price goes  high, you stop buying.
        d. Target Price - indicates the price that your stock should hit before you start selling your stock.
        e. Action to Take - it tells you what action to take, whether to continue or stop buying or to start selling your stocks.

My long-term investing becomes easier because I have a clearer picture of the actions I should take. So whenever I login to COL Financial system to buy a certain stock, I simply consult my Stock Updates in Truly Rich Club page to decide. Easy right? It's like hiring a researcher to do the company researches for you and a secretary to tell you whether it's a "go" or "no" to buy a certain stock. :)

If you want to know more about Truly Rich Club, visit their link below. Besides Stocks Updates, you'll find more perks:

3. Accumulate Stocks and Shares.

While the price of the stock I am monitoring is still in the buy below price (Based on Truly Rich Club's Stocks Updates), I accumulate shares. Make sure that every month you set aside a portion from your salary or earnings to fund your account. Develop the discipline of accumulating stocks monthly. Here's a simple guide to develop your saving discipline. Link Here - The Saving Formula

4. Sell Stocks.

When the price has reached its target price (again based on Truly Rich Club's Stock Updates), I sell my stocks and reinvest. That's the next step.

5. Reinvest.

Whatever profit you make, or whatever dividends you receive, REINVEST them. Reinvesting is a key to your success in your long-term investment. Because you are not only growing your capital investment but you are also growing the "free" money you receive.

In more than 2 years in Philippine Stock Market, my membership in Truly Rich Club played and still plays a big role. As a newbie who wants to invest, I don't trust the level of knowledge I have in Stock Market therefore it works for me to have someone who will guide me while I invest in this unfamiliar world. I survived my 2 years with a satisfactory profit that makes my membership in the club worth it. (Click here to see how far I've gone in my two years in Stock market).

And what truly matters now is that some of my family members and friends got encouraged and are already investing in stock market and joining the Truly Rich Club. I am hoping to hear their stories so I can share what has happened to them in their venture in Philippine Stock Market Investment. For now, I can only share my experiences hoping you can learn from them.

Happy Investing!

Monday, April 8, 2013

About SMPH, SMDC and SM Land Consolidation

Last February 20, I received this news about the suggested consolidation of 3 companies. Those are SM Prime Holdings, Inc. (SMPH), SM Development Corp. (SMDC), SM Land.

Just last month there were news in COL Financial, my online stock market broker, that the consolidation is bound to be finalized this year according to Henry Sy. Here's a snapshot of the news taken from my online broker's related news on SMPH.

SMPH is one of the stocks suggested by Truly Rich Club to be bought in the stock market. It was placed on an on-hold status and the merging might apparently be the reason why Truly Rich Club suggested to wait for their go signal if we can buy this good company again or we should start selling our stocks.

What happens when SMPH, SMDC and SM Land gets consolidated?

As per the news, once the three companies are consolidated only one will be left and the others will be delisted. So what happens when stocks get delisted? It no longer trades in the exchange and therefore the impact of this one is that stockholders won't have much access to the delisted stocks resulting to a drop off in liquidity and trading volume according to Investopedia.

For now, we in the Truly Rich Club (TRC) are still waiting for the regular Stock Update newsletter they send. One good feature that the club offers now is the facebook-like site that lets you communicate with other members. Since Mike Vinas, the Corporate Accounts Officer and Relationship Manager of COL Financial, is also a member of TRC I was able to ask him a question about the said delisting. Here's our conversation from TRC's social networking site.

Truly Rich Club just gets AWESOME. :) Invite me if you're a member.
Not yet a member? Know more about the club and join by clicking the link below. Enjoy both the financial and spiritual blessings from the club.

If you have any questions, feel free to leave your comments below or to send messages privately on the "Post your Message Here" tab. Add me up on twitter @pocketwisepinoy to get updated on my latest posts.

Happy Investing!

Thursday, April 4, 2013

MBT Cash Dividend on April 05, 2013

Read this news from COL Financial, my online broker in Philippine Stock Market. The Cash Dividend for MBT Stockholders will be credited to accounts on April 05, 2013 when cleared by Philippine Depository and Trust Corp (PDTC) . Cash dividends will appear in your "Cash Balance" which you can access when you go to "Trade" tab then "Portfolio". Just check on the left side portion of the window.

MBT is one of the stocks suggested by Truly Rich Club. I have been accumulating this stock for quite sometime and I have seen how it grew. I am thankful that Truly Rich Club is giving list of suggested stocks which I can invest in. They also do research on the companies they suggest which justifies why they are choosing a certain company. If you want to know more about Truly Rich Club, click on the link below and get your free e-book "My Maid Invests in Stock Market and Why You Should Too" (this is really a good book to read if you are planning to start your investments.):


MBT has also an upcoming announcement for a stock dividend. No details of this yet. I will post once I got updates on this.

If you want to know more about Cash Dividends, Stock Dividends and when a stock holder gets dividends, just visit this More on Dividends.